Sapient Global Markets White Paper Examines How to Drive Greater Efficiencies Across Collateral Management Operations

Sapient Global Markets, a division of Sapient (NASDAQ: SAPE), and a leading global provider of business technology and consulting services for the capital and commodity markets, today published a new white paper ‘Bringing Efficiency to Collateral Management’.

The paper, examining collateral management trends and their effect on firms’ systems and processes, discusses how and where firms must deliver greater efficiency in order to remain competitive and protect revenues. It reveals that while regulations continue to drive firms’ investments in new technology and infrastructure, a number of other trends are influencing firms’ desire to increase efficiency including shortfalls, cross asset netting, collateral optimization and transformation.

“Market participants have patched together fragmented systems, manual processes, and siloed approaches to ensure compliance with various regulatory requirements,” said Thomas Schiebe, senior associate at Sapient Global Markets. “Unfortunately, such disjointed efforts have made managing and processing collateral inefficient and costly, which impacts profitability.”

As the costs of central clearing, collateral reporting and margining continue to rise, firms will need to bring efficiency to several areas of their collateral management process in order to remain competitive and protect revenues. The white paper identifies and discusses six key areas for improvement, namely: inventory management, risk management, data management, reporting and analysis, dispute management, and communication standards.

“From the current environment of batch processes and reactive collateral management decisions, firms are now looking holistically at collateral management projects,” Schiebe added. “They realize that automation is needed to manage higher collateral volumes, increased margin calls, and interaction with more counterparties. As collateral management continues to evolve, driven by regulatory reform, firms are taking positive steps to remain competitive and protect revenues.”

To download a copy of the white paper, please visit the Sapient Global Markets website.

About Sapient Global Markets:

Sapient Global Markets, a division of Sapient® (NASDAQ: SAPE), is a leading provider of services to today’s evolving financial and commodity markets. We provide a full range of capabilities to help our clients grow and enhance their businesses, create robust and transparent infrastructure, manage operating costs, and foster innovation throughout their organizations. We offer services across Advisory, Analytics, Technology, and Process, as well as unique methodologies in program management, technology development, and process outsourcing. Sapient Global Markets operates in key financial and commodity centers worldwide, including Boston, Calgary, Chicago, Dusseldorf, Frankfurt, Houston, London, Los Angeles, Milan, New York, Singapore, Washington D.C. and Zurich, as well as in large technology development and operations outsourcing centers in Bangalore, Delhi, and Noida, India. For more information, visit www.sapientglobalmarkets.com.

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